Beef retail prices hit a record

BEEF is selling at record highs and with short cattle supply and strong export demand keeping a lid on stocks on the domestic market, there is little likelihood retail prices will drop anytime soon.

What that means is the industry’s marketing wizzes need to be stepping up big time to ensure consumers don’t drift towards alternative proteins.

Meat and Livestock Australia figures for the March quarter have the retail weight price for beef at $19.51 cents per kilogram, a new record.

Market analysts Mecardo say the fall in cattle prices has not been to an extent where they are back at the average proportion of the retail beef price, meaning retail margins are still below historic levels.

Additionally, Mecardo points out, lamb prices are strong so beef has not had to fall to compete.

Indeed, NSW’s Craig Cook, who has 19 butcher shops across Sydney, said surging lamb prices had pushed a lot more sales towards beef.

Ironically, he believes the higher retail prices have done more to secure beef’s place in the hearts of Australians than they have done damage, even though beef in his shops is selling at three to four times the price of chicken.

“What we’ve found is people won’t swing from lamb to chicken because it doesn’t feed their mind with what it desires - a hearty meal,” he said.

“Our lamb sales have collapsed but beef has never been stronger.”

There was, however, movement to cheaper cuts of beef.

“There has never been so much beef brisket sold in this country,” Mr Cook said.

MLA research shows beef continues to command the lion’s share of the domestic protein market, with 97pc of Australians saying they consider purchasing beef.